Consider the following securities. They all have the same face value, annual coupon rate and frequency of coupon payment

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Consider the following securities. They all have the same face
value, annual coupon rate and frequency of coupon payments per
year. Which one of these would you expect to pay the lowest price
at issuance?
●10-year corporate bond with AAA rating
●10-year corporate bond with BBB rating
●10- year Treasury bonds
a. 10- year Treasury bond because it has the lowest default risk
and hence should be selling at the cheapest price
b. 10-year corporate bond with BBB rating because it has the
highest default risk and hence should be selling at the cheapest
price
c. 10-year corporate bond with AAA rating because it has a lower
default risk than the bond with BBB rating.
d. Unable to decide as the implied value of these securities can
not be calculated